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Market Research Outlook

24 Mantra Organic and ITC Deepen Focus on India’s Organic Foods Market Expansion

India’s organic food market has evolved through years of consumer education, supply chain development, and sustained efforts to build trust in food sourcing. Among the companies that played an early role in shaping the segment, 24 Mantra Organic has emerged as a key participant, building an integrated organic ecosystem over nearly two decades. Following ITC’s acquisition of 24 Mantra Organic in 2025, the brand is entering its next phase of growth with expanded scale and distribution support.

Founded under Sresta Natural Bioproducts Pvt. Ltd. (SNBPL), 24 Mantra Organic focused early on creating a farm-to-fork organic ecosystem designed to support farmers while building consumer confidence in certified organic food.

According to Rajashekar Reddy Seelam, Founder & Managing Director of Sresta Natural Bioproducts Pvt. Ltd. (SNBPL), “During the brand’s inception in the mid-2000s, the conditions were far from conducive. There was limited consumer awareness, negligible retail interest, and widespread skepticism among farmers about the economic viability of organic practices. The idea of organic staples lacked both demand and distribution support.”

The company initially faced challenges building both supply and demand. Farmers were hesitant to adopt organic cultivation methods, while retail participation remained limited. To bridge the gap, the company established its own retail outlets in 2005 and focused on direct consumer education initiatives.

Today, the company works with over 27,000 farmers across approximately 1.4 lakh acres of certified organic farmland. The brand has also introduced QR-code-enabled traceability systems aimed at strengthening supply chain transparency.

Expansion Through ITC Integration

The integration with ITC is expected to strengthen the brand’s distribution capabilities, manufacturing network, working capital access, and operational scale while retaining its existing farm-to-fork framework.

Nearly half of 24 Mantra Organic’s sales currently come from global markets led by the US, while Europe, Canada, Middle East and South East Asia remain priority expansion regions. The portfolio includes over 100 organic products spanning atta, millet products, pulses, nuts, cooking oil, honey, jaggery, rice, spices and snacks.

Anuj Kumar Rustagi, Chief Executive, Staples, Foods Division, ITC Ltd., said, “Organic food is a category of significant interest to discerning and premium consumers with significant headroom to grow through penetration and premiumization. Raj and the team at 24 Mantra Organic have been pioneers in India on Organic food and build a fully integrated organic business which is unique. It’s focus on working with farmers and full value chain is in sync with ITC’s philosophy and competitive advantage.”

He added, “ITC’s acquisition of 24 Mantra Organic is aimed at not only strengthening the brand’s presence in the high-growth organic foods space but also fuel the overall segment growth and increase exports of organic food out of India. In keeping with distributed leadership philosophy of ITC, the team at 24 Mantra has been fully empowered to operate with the support of ITC’s deep institutional strengths in Agri-sourcing, R&D, agile product development, integrated manufacturing, consumer insights & marketing, digital infrastructure, and omni-channel distribution network. With an impressive array of 100+ products enabling our consumers to live a fully organic lifestyle, the focus is on gradually expanding the portfolio’s presence across regions and all channels of e-com, Q-com, modern trade and retail.”

Organic Category Growth Opportunity

India’s domestic organic market is valued at approximately Rs.10,000 crore and is growing at 15–20% CAGR. Despite growth momentum, category penetration remains at 0.3% compared with a global average of 3.5% to 4%, indicating significant expansion potential.

The brand currently reaches 5–6 million families, while estimates indicate 50–60 million Indian families could potentially transition towards organic consumption over time.

Market Research Outlook Analysis

India’s organic food segment is moving from niche consumption toward broader mainstream adoption, driven by health awareness and premiumisation trends. Large FMCG participation is likely to intensify competition while accelerating infrastructure development across sourcing, distribution and product innovation.

ITC’s integration of 24 Mantra Organic highlights a wider FMCG strategy of entering high-growth premium categories through acquisitions and ecosystem-led expansion models.

The organic food sector is expected to see continued momentum as accessibility, consumer trust and distribution scale improve across markets.

For deeper insights or customised research on this segment, connect with our team.

Source: ITC

 

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